US-based physical goods distributor and wholesaler Alliance Entertainment is going to list on the New York Stock Exchange – via a merger with a SPAC (Special Purpose Acquisition Company). Alliance has signed a definitive business combination agreement with Adara Acquisition Corp for the flotation.
Source: Music distributor Alliance Entertainment is going public via $480m-valued SPAC merger
The deal includes IAG’s purchase of a controlling interest in Stills’ intellectual property, including his music publishing catalog of 1,000-plus songs from his stints in Buffalo Springfield; Crosby, Stills, Nash & Young (CSNY); Crosby, Stills & Nash (CSN); Manassas; The Rides and The Stills-Young Band, as well as his solo career.
Source: Stephen Stills Sells Catalog to Irving Azoff’s Iconic Artists Group in Expansive Deal
Warner Music Group has joined a strategic funding round for San Francisco-based Authentic Artists, a music platform that claims to power “metaverse-native virtual artists, digital collectibles and interactive music experiences”. Authentic Artists says that its music platform uses “cutting edge deep learning, game engine and blockchain technologies”.
According to Reservoir founder and CEO, Golnar Khosrowshahi, Reservoir’s upcoming pipeline of potential deals “remains robust”. Khosrowshahi added that her company expects to “deploy over $100 million in new capital in fiscal 2023 that will help us broaden and further diversify our portfolio”.
The National Music Publishers’ Association has claimed that the major labels took in a staggering 58.6 percent of 2021’s $9.8 billion in total streaming royalties – while continuing to tout its close ties with the Big Three, thereby raising renewed questions about the precise extent of their pull. This and other interesting datapoints came to light during NMPA head David Israelite’s recent speech in New York City, delivered as part of his organization’s annual meeting.
Source: Major Labels Took In 58.6% of Streaming Royalties In 2021, NMPA Says
Spotify closed the deal to acquire audiobook distributor Findaway, touting a “substantial market opportunity” in audiobooks. The company operates AudioEngine, a business-to-business audiobooks marketplace, and self-publishing platform Findaway Voices. According to Spotify, Findaway’s technology gives the company access to the growing audiobooks market — which Spotify execs said is expected to grow from $3.3 billion today to $15 billion by 2027.
Source: Spotify Closes Acquisition of Findaway, Mounting Challenge to Audible in Audiobooks
The startup says that its new fund, backed by investment firm Preserver Partners, will see selected indie artists receive financial support as well a being assigned “a team, infrastructure, and resources comparable to major labels while maintaining ownership of their music.” Preserver, also based in Memphis, is headed by President and Chief Investment Officer Floyd Tyler, and has nearly $300 million in assets under management.
Source: Connect Music Group launches $10m indie artist fund backed by investment firm Preserver Partners
There are more than 550 million paying music subscribers worldwide, according to estimates from MIDIA Research. Of that, Spotify claims 182 million, according to the company’s latest disclosures. But how many more paying subscribers are out there? According to Hipgnosis Songs founder and CEO Merck Mercuriadis, more than 1.5 billion people have yet to initiate paid music streaming accounts.
Source: Music Streaming Isn’t Plateauing One Bit, According to Hipgnosis CEO
Spotify wants to make audiobooks the next pillar of its business. On Wednesday, company executives pitched the audiobooks business to investors as their next target for industry domination. When they launch the audiobooks vertical (which is TBD), it could have huge ramifications not only for Spotify’s own business, but for the publishing industry as well.
Source: Spotify comes for audiobooks
Seoul-based Beyond Music, a company calling itself “the Korean version of Hipgnosis“, has been splashing cash in the music rights market in Asia, and says that it now wants “to conquer the global music IP market.” Beyond Music claims to be Asia’s largest single music IP asset management company, with current operating assets of approximately 300 billion South Korea Won (USD $200m).